Four small and midsize companies claiming they were victims of technology theft by large companies held a joint news conference on the 7th at the win-win room of the Korea Federation of Small and Medium Enterprises in Yeouido, Seoul.
The event was jointly organized by the public-interest foundation Gyeongcheong for restoring small-business rights, independent lawmaker Kim Jong-min of the National Assembly, and Song Jae-bong of the Democratic Party of Korea. The attending corporate representatives said they were facing a management crisis due to technology disputes with large companies and appealed for institutional reforms.
Four corporations claimed damage that day. NEC Power said it is in a dispute with SK ecoplant over a solution to optimize operations of eco-friendly incinerators. CGI is in an ongoing technology dispute with Hanwha Solutions over heat-dissipation devices. t'order is continuing a conflict with KT over core technology for table-order services. CDS Global said it has been in litigation with bamboo salt manufacturer Insanga for about eight years.
These corporations argued that not only the technology theft process but also the subsequent legal response mirrored past cases. They said disputes arose after technology was provided during cooperation or supply, followed by prolonged litigation using large law firms.
The government is emphasizing the eradication of technology leaks. The Ministry of SMEs and Startups is pushing a plan to impose a penalty surcharge of up to 5 billion won for technology infringement.
However, the victim corporations argue that in the actual dispute process, most of the burden falls on small and midsize companies.
According to the Ministry of SMEs and Startups (MSS), there were 299 cases of technology infringement in 2024. The average loss per company was calculated at 1.82 billion won. The Korean National Police Agency arrested more than 380 people in 179 technology leak crimes last year, up 45.5% from the previous year.
Although technology leak cases are increasing, it is not easy to prove damage in civil lawsuits. The win rate for damages suits over technology theft was only 32.9%, and the recognized damage amount ratio stood at 17.5%.
The victim corporations said, "Technology theft disputes keep recurring, but it is not easy to achieve meaningful recovery of damages."